Drake, Adin Ross, and Stake Named in New Mexico Class Action for a Second Time

What’s going on:
A new class-action complaint filed on October 29, 2025 in the Second Judicial District Court of New Mexico names Drake, Adin Ross, and Sweepstakes Limited (the parent company of Stake) as defendants. The plaintiffs are two New Mexico residents filing on behalf of themselves and similarly situated persons, alleging that the Stake platform (via its U.S. site Stake.us) constitutes illegal online gambling under New Mexico’s gaming and consumer protection laws.

This is the second major legal action in a matter of days. The first was filed in Missouri (Jackson County) where similar claims were made against the same parties.

Allegations in the New Mexico filing:

• The lawsuit says that Stake.us is marketed as a “social casino” (meaning ostensibly play-money or tokens), but in reality the plaintiffs say the operation is the functional equivalent of a real-money casino.
• The complaint claims the platform uses a dual-currency system: “Gold Coins” (non-redeemable for cash) are bought, but bundled with “Stake Cash”, which allegedly can be cashed out or converted at 1:1 to USD/crypto. The suit argues that therefore real‐money gambling is happening despite the “social” label.
• It accuses Drake and Adin Ross of engaging in “deceptive, fraudulent, and unfair” marketing: live-streaming gambling sessions, presenting bets as personal when they may have been supplied “house money” by Stake, glamorising gambling and targeting younger or vulnerable audiences.
• The plaintiffs are seeking recovery of losses, attorneys’ fees, and injunctive relief (i.e., to halt the alleged activity) for all New Mexico residents who lost money on Stake.us over the prior five years.

Why this matters:

• Online gambling laws in many U.S. states are strict, and many forms of online casino/gambling are illegal in New Mexico and Missouri. The suit argues that Stake.us is skirting or violating these laws.
• The involvement of celebrity influencers/carried-promoters (Drake + Ross) raises questions about influencer responsibility, disclosure, and whether audiences (particularly younger ones) are being misled.
• If the claims are validated, it could set precedent for how online “sweepstakes” or dual-token casino platforms are regulated, and how celebrity endorsements are treated legally under consumer protection and gambling laws.

Responses & positions so far:

• Stake (and its affiliates) have publicly stated they will “vigorously defend” the claims.
• Adin Ross has publicly dismissed the lawsuit, calling it “bullshit” during a livestream.
• Drake has not, at least publicly (as of the reporting), issued a detailed comment.
• Legal analysts note this could be only one of many such suits: these platforms are already facing lawsuits in multiple states (California, Illinois, Alabama, Massachusetts, etc.).

Potential impacts and what to watch for:

• If the case is certified as a class action and proceeds, it could open the floodgates for many more suits in other states, especially where online casino/gambling laws are in grey areas.
• For Drake and Ross, even if they are not found liable, the reputational risk is significant: public perception of promoting potentially harmful gambling to young audiences could have long-term effect.
• For Stake and similar platforms: regulatory risk might increase, possibly tighter oversight or new state laws limiting dual-token “sweepstakes casinos”.
• For users in New Mexico (and other states): if the plaintiffs prevail, there may be opportunities for recovery of losses — though that process could be lengthy and complex.

Some caveats and open questions:

• Laws around online gambling, especially “sweepstakes”/dual‐token platforms, are complex and vary significantly by state — what is illegal in one may be permitted in another under specific conditions.
• The outcome depends heavily on whether the “Gold Coins + Stake Cash” structure really constitutes real‐money gambling under state law, or whether the “social casino” label holds up.
• Celebrity endorsements: proving that Drake or Ross knew or intended to mislead may be challenging — legal standards around influencer liability are still evolving.
• Even if the case moves forward, a settlement or dismissal is still possible before any large-scale outcome is reached.

In summary:
The filing in New Mexico marks a significant escalation in the legal scrutiny of celebrity-backed online gambling platforms and how they are marketed to consumers. Drake, Adin Ross and Stake are now entangled in multi-state class action litigation alleging deceptive gambling practices. This isn’t just a side lawsuit — it could reshape how these platforms operate, how endorsements are managed, and how states regulate online gambling. For now, the case is still young, but it’s one worth monitoring closely.

If you like, I can pull up the actual complaint filings (PDFs) for both the Missouri and New Mexico cases, and highlight the key legal arguments + potential outcomes. Would you like me to do that?